Venice Token (VVV) climbed to $7.06 after a daily gain of 14.55%, supported by growing participation and volume expansion.
Price approached a critical supply zone, focusing on the opportunity for buyers to extend the move.
Trading volume increased 83.5% to $45.42 million, reflecting stronger engagement behind the rally. However, this development moved closer to a region that had historically plateaued on the rise.
This left VVV at a key decision point, where structure and activities needed to align to continue.
Can Higher Lows Break Resistance?
VVV formed a series of higher lows along an ascending trendline, keeping the larger structure intact.
The price compressed below the $7.20 resistance while remaining above the $5.75 support. This structure showed buyers intervening at higher levels, adding to the upward pressure.
Despite this, repeated stress tests indicated that supply remained active in this area.
As prices tightened near the upper boundary, the structure indicated potential expansion. If the breakout holds, trendline support could lead the continuation beyond resistance.
Additionally, the MACD crossed the signal line and the histogram turned positive. This change indicates a strengthening of the bullish momentum behind the movement.
Do VVV inflows signal selling pressure?
Net cash flows turned positive, with $931.21 thousand in inflows recorded, marking a shift from the previous dominance of outflows.
This transition suggests tokens are returning to exchanges, which introduces potential liquidity on the sell side.
However, the timing of these capital inflows coincides with the test of price resistance, which often reflects positioning adjustments rather than immediate distribution.
Foreign exchange deposits increase available supply, but they do not always translate into instant selling pressure.
As prices hold near the upper range, these inflows create a level of caution. The market is now monitoring whether this additional liquidity slows the recovery or whether it simply accompanies a continued upward movement.
A short press reshapes the positioning
Liquidation data showed $85,050 in short liquidations versus $17,920,000 in long liquidations. This imbalance indicates that bearish positions are facing greater pressure.
The move aligned with a leverage reset, removing bearish bets from the market.
When short sales unwind, forced buying can support the price and reduce selling pressure.
However, this also reduced the immediate squeeze potential after the weaker shorts were released. The liquidation profile suggests that the market has overcome fragile bearish positions.
As a result, prices faced less resistance to downward pressures from leverage.
Can the VVV support a breakout?
VVV tested resistance as structure, indicators and positioning aligned with continuation.
Higher lows supported the trend, while the MACD confirmed sustained momentum. Short selloffs reduced the downside pressure, keeping the path higher less contested.
Despite this, increased FX flows have brought supply close to resistance. If demand absorbs this supply, VVV could attempt a breakout beyond $7.20.
Final Summary
- Venice Token (VVV) rose to $7.06, supported by a 14.55% daily gain and an 83.5% surge in trading volume.
- The price approached the $7.20 resistance zone, a key level that previously capped the upside.
